New York, June 23, 2009-- In the midst of the global economic crisis, ongoing negotiations at the UN over the Outcome Document for the conference on the Financial and Economic Crisis, June 24-26th, 2009 are betraying age-old power fault lines. Rich, industrialized countries are attempting to underplay the legitimate role of the United Nations in the ongoing process of global economic system reform.
According to the Global Social Economy Group (GSEG) industrialized country governments are fudging the hard issues at the UN and instead utilizing forums such as the G8 and the G20 to make decisions affecting millions of people, rendering those worst affected by the crisis voiceless. The GSEG, which is hosting the Civil Society Forum, a major gathering of civil society organizations wants to see major reform of the World Bank and IMF. They insist that strong commitments on debt reform and additional resources for the immediate and long-term financing needs of developing countries take center stage in the upcoming conference discussions. This week the World Bank released its most gloomy forecast for developing countries yet, predicting a $1 US trillion economic slump in their economies, making the case for civil society demands even greater.
"Rich countries have a responsibility to show us they are serious about implementing the major reforms necessary to lift us out of this crisis and put us on a path of redistributive economic justice and sustainable development. As citizens living with the everyday reality of the havoc this recession is wreaking on our countries, we fully support the far-reaching reforms proposed by the Stiglitz Commission," commented Bhumika Muchhala, Senior Policy Advisor for the Third World Network. "We want to see these proposals incorporated in the Outcome Document of the Conference".
"If the situation wasn't so dire, it would almost be laughable that governments of rich nations, responsible for the same global financial institutions which have failed ordinary people, particularly women,, are proposing that instead we let World Bank and the IMF to "fix themselves." It's not time to fix the machine, it's time to build a new one, using the United Nations." commented Syvia Borren, Co-Chair of the Global Call to Action against Poverty (GCAP).
Civil society organizations are also calling for all governments to support strong follow-up mechanisms to this conference, which are intergovernmental, inclusive and democratic in order to ensure that the UN, as the only legitimate body representing all the world's governments, plays a strong role in implementing crucial reforms.
"Those attempting to argue that this Conference has been hijacked by radicals should be reminded that this UN conference works by consensus which means that the proposals being put forward have to be approved by all 192 governments, unlike the exclusive G20 club," commented Roberto Bissio, Coordinator of Social Watch.